Nanofiber-based hydrogel delivery systems have recently shown great potential in biomedical applications, specifically due to their high surface-to-volume ratio of ultra-fine nanofibers, ability to carry low solubility drugs, and ability to control drug release to the surrounding tissues. Herein, we introduce a visible light-triggered in situ-gelling drug delivery system (GAP Gel) composed of ascorbyl palmitate (AP) nanofibers and gelatin methacryloyl polymer. AP nanofibers form self-assembled structures with a hydrophilic periphery, while the hydrophobic core helps load hydrophobic drugs. We demonstrate that the hydrophilic periphery of AP nanofibers allows them to interact with other hydrophilic molecules, such as the amino acids of gelatin, via hydrogen bonds. The presence of AP nanofibers significantly enhances the viscoelasticity of GAP Gel in a concentration-dependent manner. Further, GAP Gel shows in vitro biocompatibility and sustained drug delivery efficacy when loaded with Erythromycin, a hydrophobic antibiotic. Likewise, GAP Gel shows excellent in vivo biocompatibility when implanted in immunocompetent mice in injectable and sprayable forms. Lastly, GAP Gels maintain cell viability when cultured in a 3D environment over 7 days, establishing it as a promising and versatile hydrogel platform for the delivery of biotherapeutics in soft tissues.